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    Home»Black Economics»Is Section 8 the Business of Keeping Black America Poor?
    Black Economics

    Is Section 8 the Business of Keeping Black America Poor?

    DAMON K JONESBy DAMON K JONESAugust 27, 2025No Comments5 Mins Read
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    Section 8 was never meant to be permanent. When Congress created the program in 1974, it was billed as a bridge — a way to help struggling families afford decent housing until they could get on their feet. But half a century later, that bridge has become a trap. For far too many Black families, Section 8 has not been a pathway out of poverty but a cycle that manages poverty, monetizes it, and recycles it for the benefit of developers and politicians.

    Let’s be clear: this is not about older people or people with disabilities who rightfully need permanent assistance. They deserve the protection of a social safety net. What we are confronting is something very different — the generational dependency that has taken root in Black America, and the political hustle that keeps it alive. Section 8 has been transformed from a temporary bridge into a long-term strategy for managing poverty, and too many politicians, developers, and so-called leaders profit from keeping people dependent rather than empowering them to rise.

    The program sounds compassionate. Families pay 30 percent of their income toward rent, and the government covers the rest. In theory, this gives the poor access to better housing and safer neighborhoods. In practice, it creates a system of dependency. Each year, families are re-certified. If their income rises, their rent share increases, and their subsidy decreases. This “benefits cliff” punishes ambition and rewards stagnation. HUD’s own numbers show that non-disabled adults often stay on vouchers six, eight, or even ten years. And children raised in these households frequently return as adults to apply for assistance themselves. The cycle repeats.

    Read: The National Urban League’s The State of Black America Report Shows Why We’re Still Dependent — and Still Losing

    However, the story doesn’t end with people of low income. The real winners in this system are landlords, developers, and politicians. For landlords, Section 8 means guaranteed rent checks backed by the U.S. Treasury — a steady revenue stream with no risk. Developers, meanwhile, have perfected the art of double-dipping. They pair Section 8 vouchers with the federal Low-Income Housing Tax Credit, providing both tax benefits and guaranteed rental income. For them, poverty is the safest investment in America.

    Then come the politicians. Developers who profit from subsidized housing are also major contributors to political campaigns. In return, politicians push more projects and cut more ribbons, selling the illusion that they are “fighting for the poor.” In reality, they are feeding a machine. Black neighborhoods become the sites of concentrated low-income housing, which depresses property values, weakens schools, and fuels crime. The community sinks deeper into dependency, while developers profit and politicians secure re-election.

    Meanwhile, in these same cities, the schools are dysfunctional. They are not training children for the modern workforce. They have become feeder systems for the Section 8 machine — or worse, for the local jails. Why are so many generations locked in this cycle? How is it that young men smart enough to organize a million-dollar drug enterprise are never put in the mindset to run a million-dollar corporation? The answer is not ability — it is conditioning. We must be honest: this is not a war on people with low incomes. It is a war of the mind.

    Read: Mount Vernon’s Future Is Being Sold—One PAC Donation at a Time

    Here is the bitter irony: Black leaders complain about poverty while our communities remain the nation’s largest consumer base. We are told we have nothing, even as trillions flow out of our neighborhoods into corporate pockets that give us nothing in return. The shortage of Black-owned businesses is a hidden driver of our ongoing reliance on Section 8. With nearly $1.5 trillion in annual spending power, our communities should be employing our own people and creating jobs that lift families out of poverty. But when only 2 to 3 percent of businesses with employees are Black-owned, we lack the institutions to hire, train, and elevate our people. The result is expected: instead of working in enterprises we own, too many are stuck cycling through government programs, trapped in a state of survival rather than mobility. Until we build businesses that can absorb our labor and recycle our dollars, Section 8 will remain less a safety net and more a replacement for the economic power we have yet to develop.

    Read: The Paradox of Black America: The Largest Consumer Base Without Business or Generational Wealth

    That is why we must be practical and plan. For now, Pharaoh has let Black America go. Yet as the nation shifts its economic strategy, it is white disadvantaged communities in the Midwest that are not crying out, but planning to retrain, retool, and educate themselves for the workforce of tomorrow. The question is: where is Black leadership? While others seize the opportunities ahead, too many of our leaders remain stuck in the past — clinging to grievances, dependency, and symbolic victories instead of charting a path toward absolute independence.

    Read: Westchester’s Wealth, Black Westchester’s Crisis: Only 3% of Businesses Are Ours

    Malcolm X warned us decades ago: “If you live in a poor neighborhood, you’ll get a poor education. With a poor education, you’ll get a poorly paying job. And with a poorly paying job, you’ll be forced to live again in a poor neighborhood.” The cycle is political. And today, we see it more clearly than ever. The sin is that Black leaders in Black America do not want to change it. They would rather preserve the dependency machine than build a blueprint for independence.

    We cannot afford to mistake dependency for compassion any longer. Section 8 is more than a safety net. It is a business model — one that ensures poverty is never solved, only subsidized. Until Black America demands policies that build independence rather than manage dependence, we will remain locked in a system designed not to lift us, but to keep us in place. 

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    DAMON K JONES

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